How do I calculate my Average Indexed Monthly Earnings?
When approved for Social Security Disability Insurance, the payments you receive will be based on the amount of income that you’ve paid Social Security taxes on. The Social Security Administration (SSA) will determine this amount by establishing an Average Indexed Monthly Earnings (AIME) amount for you. They will then use your AIME in a formula to construct a Primary Insurance Amount, or PIA.
The PIA will ultimately represent the base amount you will receive once your disability benefits begin. It’s important to note that the payment amount you receive is not set in stone. If you’re receiving other benefits, such as worker’s compensation, then you can expect the amount you receive for disability to decrease. Likewise, annual Cost-of-Living Adjustments (COLA) may result in an increase in your monthly benefit payment.
Because of all of the various factors that go into establishing your monthly payment, it can be hard to find even a useful estimate of the benefits you can expect to receive if you’re approved. Thankfully, the SSA created a quick calculator for just this purpose. Their quick calculator will give you an idea of the amount of benefits you’d receive if you became disabled today. It’s important to note that the figure you receive will not be entirely accurate. SSA will determine your actual monthly benefit amount after you are found disabled. If you need more help estimating what your disability payments will be then you can always contact the experts here at The Advocator Group.